Correlation Between Politeknik Metal and ICU Girisim
Can any of the company-specific risk be diversified away by investing in both Politeknik Metal and ICU Girisim at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Politeknik Metal and ICU Girisim into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Politeknik Metal Sanayi and ICU Girisim Sermayesi, you can compare the effects of market volatilities on Politeknik Metal and ICU Girisim and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Politeknik Metal with a short position of ICU Girisim. Check out your portfolio center. Please also check ongoing floating volatility patterns of Politeknik Metal and ICU Girisim.
Diversification Opportunities for Politeknik Metal and ICU Girisim
0.5 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Politeknik and ICU is 0.5. Overlapping area represents the amount of risk that can be diversified away by holding Politeknik Metal Sanayi and ICU Girisim Sermayesi in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ICU Girisim Sermayesi and Politeknik Metal is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Politeknik Metal Sanayi are associated (or correlated) with ICU Girisim. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ICU Girisim Sermayesi has no effect on the direction of Politeknik Metal i.e., Politeknik Metal and ICU Girisim go up and down completely randomly.
Pair Corralation between Politeknik Metal and ICU Girisim
Assuming the 90 days trading horizon Politeknik Metal is expected to generate 1.18 times less return on investment than ICU Girisim. But when comparing it to its historical volatility, Politeknik Metal Sanayi is 1.12 times less risky than ICU Girisim. It trades about 0.1 of its potential returns per unit of risk. ICU Girisim Sermayesi is currently generating about 0.1 of returns per unit of risk over similar time horizon. If you would invest 2,546 in ICU Girisim Sermayesi on September 19, 2024 and sell it today you would earn a total of 202.00 from holding ICU Girisim Sermayesi or generate 7.93% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Politeknik Metal Sanayi vs. ICU Girisim Sermayesi
Performance |
| Timeline |
| Politeknik Metal Sanayi |
| ICU Girisim Sermayesi |
Politeknik Metal and ICU Girisim Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Politeknik Metal and ICU Girisim
The main advantage of trading using opposite Politeknik Metal and ICU Girisim positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Politeknik Metal position performs unexpectedly, ICU Girisim can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in ICU Girisim will offset losses from the drop in ICU Girisim's long position.| Politeknik Metal vs. Ayes Celik Hasir | Politeknik Metal vs. Trend Gayrimenkul Yatirim | Politeknik Metal vs. Ege Endustri ve | Politeknik Metal vs. Alarko Carrier Sanayi |
| ICU Girisim vs. Gentas Genel Metal | ICU Girisim vs. Turkish Airlines | ICU Girisim vs. Qnb Finansbank AS | ICU Girisim vs. Politeknik Metal Sanayi |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
Other Complementary Tools
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences |